8. (TCO 8) A benefit of using a market-based transfer price is the (Points : 5)

9. (TCO 8) The range ACCT 434 over which two divisions will negotiate a transfer price is (Points : 5)

10. (TCO 8) Division A sells soybean paste internally to Division B, which, in turn, produces soybean burgers that sell for $5 per pound. Division A incurs costs of $0.75 per pound and Division B incurs an additional cost of $2.50 per pound. What is Division A’s operating income per pound, assuming the transfer price of the soybean paste is set at $1.25 per pound? (Points : 5)